In the Moody's Analytics Portfolio Model, the Expected Loss on a Loan

question 42

Multiple Choice

In the Moody's Analytics portfolio model, the expected loss on a loan is

• A)the product of the estimated loss given default and risk-free rate on a security of equivalent maturity.
• B)annual all-in-spread minus the loss given default.
• C)annual all-in-spread minus the expected default frequency.
• D)the product of the expected default frequency and the estimated loss given default.
• E)the volatility of the loan's default rate around its expected value.

---

Definitions:

Emotional Health

Refers to the ability to understand, manage, and express one’s emotions in a healthy and productive manner.

Johari Window

A model that is used to improve understanding between individuals within a group about themselves and each other by mapping self-awareness and mutual understanding.

360-degree Feedback

A feedback process where employees receive confidential, anonymous feedback from the people who work around them.

Anonymous Feedback

Anonymous Feedback is a form of feedback given without revealing the identity of the person providing it, often used in organizational settings to encourage honest and candid responses.